RE: Best World
Best World - CLSA 13 Jan 2017
Poised for the big leap Well-established track record not fully appreciated Best World (BW) is a direct-selling company that has built a credible track record. Focusing on the premium skin care, it is well established outside of Singapore, and thus, the investment merits are not fully appreciated. BW’s ability to succeed in highly competitive markets like Taiwan and China is a testimony of management capabilities. Despite the share-price rally (480% over the past one year), the stock remains undervalued vs regional peers. Fundamentals are underpinned by 27% EPS Cagr over FY16-18CL and strong free cashflow and backed by ~40% net cash equity. We initiate coverage with BUY and S$2.50 target price...
"... but quitting while you're ahead is not the same as quitting." - Quote from the movie American Gangster